A modern-day investment professional looking back at accepted doctrine in the early 1900s would rightfully characterize much of it as misguided. Do you remember when it was not considered appropriate, or even legal, to hold risky securities in a portfolio, even if the portfolio was not risky?
Will investment professionals fifty years from now view our performance measurement regulatory structure, guidelines, theory, and practice as misguided? Let me try to make the case that they will. If you agree with part of what I say, then I challenge you to think of how our profession can be changed for the better.